From descriptions of non-fungible tokens created and sold since December 2020. An NFT is a digital item with a unique tag that is stored using blockchain technology.A tweet from the musician Soulja Boy asking, “How do I sell my tweets.” $1,288A GIF of a kitten in the form of a Pop-Tart flying in a sky of exploding stars. $534,681Nine plots of virtual land in the video game Axie Infinity. $1,500,000Eight screenshots taken by a recently unemployed person depicting: a termination letter, an email stating that unemployment benefits were running out, a rent charge for a former apartment, a bill showing $65,000 in student-loan debt, a letter from a debt-collection agency regarding an uninsured visit to the doctor, a credit report showing a score in the low 500s, and a letter stating that this score must improve in order to find a job. $1,777.78A tweet stating, “This is a $100 tweet.” $100
Other examples at Harper's in an article appropriately titled "Crock Market."
Addendum: Reader James offers one explanation -
The scam of NFTs is very similar to that of many of the recent record breaking, high value video game auctions that have occurred in recent years. Essentially, that the people buying these things are generally connected in some way to the seller and are colluding to set / inflate the price to give the appearance of value so that an unconnected third party will buy something that is essentially worthless for it's perceived worth as an investment. This video goes into a lot of detail on the nature of the scam but it's similar to the three card monte scam that Dave Chappelle talked about here.TLDR: I have a picture that I sell to my friend for $1000, he then sells it to our other friend for $1001, who then sells it to another for $1002, at which point I buy it back for $1003 and around and around it goes until someone from outside of our group sees a picture which seems to be trading regularly and is seemingly increasing in value at a steady rate. They buy my worthless picture from someone in our group for the price of $2000 at which point we split that money between ourselves and start the whole process all over again.